Oil prices fell on Thursday as markets reacted to persistent global oversupply and growing concerns about weakening U.S. demand. The decline came despite Venezuela’s confirmation that its oil exports continue uninterrupted, even after recent U.S. sanctions targeting tanker operations.
Venezuelan authorities said shipments are proceeding normally, easing fears of immediate supply disruptions. Still, oversupply pressures dominated market sentiment, pushing U.S. crude down about 2% to around $55.7 per barrel, while Brent crude slipped nearly 1.8% to about $59.6 per barrel.
Further weighing on prices, U.S. inventory data disappointed investors. The Energy Information Administration reported a smaller-than-expected draw of 1.3 million barrels for the week ending December 12, reinforcing concerns that fuel demand in the world’s largest oil consumer may be slowing.
Other energy markets showed mixed movements. Heating oil prices edged lower, gasoline slipped slightly, while natural gas climbed more than 2%, reflecting shifting demand dynamics across the energy complex.
Analysts warn that oil markets remain highly sensitive to supply signals and geopolitical developments, with the balance between oversupply and demand likely to dictate price direction in the weeks ahead.
Note by Alessandro Bazzoni